Daily Wrap-up: Energy sector leads gains for TSX

Energy sector leads gains for TSX... SNC-Lavalin cuts earnings outlook... Wage growth stalled in July... Telecom firm voted best for customer service...

Steve Randall
Energy sector leads gains for TSX
Oil prices rose Thursday as investors digested the OPEC output cut announced in the previous session. The increase saw the energy sector of the main TSX index gain 1.5 per cent. Telecoms, consumer discretionary and utilities had narrower gains while the other 6 sectors declined.

Wall Street closed lower though as the US-listed Deutsche shares fell following a reported pull-back from the bank by some hedge funds. All 3 main indexes closed around 1 per cent lower.

Asian stocks were mostly higher while Europe was mixed with Germany lagging following data; London’s FTSE was up 1 per cent though.
The S&P/TSX Composite Index closed up 23.12 (0.16 per cent)
The Dow Jones closed down 194.8 (1.06 per cent)
Oil is trending higher (Brent $49.07, WTI $47.70 at 4pm)
Gold is trending higher (1324.00 at 4pm)
The loonie is valued at U$0.7601
SNC-Lavalin cuts earnings outlook
Montreal-based SNC-Lavalin Group has cut is earnings-per-share outlook for 2016 amid weaker returns from two Middle East projects. The firm now expects its engineering and construction division’s adjusted diluted earnings to be $1.30 to $1.60 per share, down from a $1.50 to $1.70 estimate previously.

The projections for the firm’s other activities are in line with previous estimates but the engineering and construction operations account for 60 per cent of its business.
Wage growth stalled in July
Statistics Canada reported Thursday that average wages in non-farm jobs were little changed in July from the previous month (down 0.2 per cent) and from 12 months earlier (up 0.1 per cent) at $955 per week.

Educational services and construction were the two sectors to see increases, up 3.3 per cent and 1.9 per cent respectively compared to a year earlier. The largest declines in wages were in accommodation and food services (down 3.6 per cent) and wholesale trade (down 3 per cent).
Telecom firm voted best for customer service
Videotron, the Quebec based telecom firm, has been voted the best in Canada for customer service in a poll by Forrester. Lifestyle website Well.ca ranks second while Fairmont hotels and Chapters/Indigo are third.

The poll asked more than 73,000 Canadians aged 18-88 in the second quarter of 2016 and found that overall, airlines were the worst performers along with digital content providers.